- Banks plan to limit financing for shipowners neglecting crew welfare.
- New measures may include requiring data on crew welfare and offering better loan terms for compliance.
- The initiative will be discussed and shared with 35 lenders under the Poseidon Principles.
Leading banks are taking significant steps to improve the welfare of seafarers by limiting financing to shipowners who neglect crew welfare. This initiative comes in response to recent attacks on vessels in the Red Sea and scandals exposing poor conditions for maritime workers, as reported by SAFETY4SEA.
October Meeting to Set New Standards
Executives from eight major banks, including ING and Citigroup, will convene in October to discuss and establish new measures aimed at monitoring and enforcing safety commitments among shipowners.
This builds on earlier agreements to evaluate the environmental impact of shipping, though with mixed results so far.
Proposed Welfare Requirements
The banks are considering several new requirements for shipowners, such as providing data on crew injuries, mental health support, and internet access. Those who meet these standards may receive better loan terms.
Additionally, the banks will address broader issues, including biodiversity, ethical recycling, and gender equality, especially the low percentage of female seafarers and recent allegations of sexual assault.
The outcome of these discussions will be shared with the 35 lenders adhering to the Poseidon Principles, a framework that promotes responsible environmental practices in ship financing, according to the Financial Times.
These new welfare-focused measures represent a significant shift towards holding shipowners accountable for the well-being of their crews.
Did you subscribe to our daily Newsletter?
It’s Free Click here to Subscribe!
Source: SAFETY4SEA
